Business Bank Account Results
How we order the accounts. Our commercial deals with certain banks can affects the panels’ display order.
One of the best banking apps on the market. Low fees, compatible with almost all accounting software, simple invoice creation and a loan facility
- One of the best Apps in the sector
- No Monthly or Annual Fees
- Easy Invoice Creation Functionality
- ATM withdrawals cost £1
- 20p charge for transfers between accounts
- 3% charge for cash deposits at Paypoints
Eligibility Criteria
- You must be at least 18 years old.
- You must have a UK residential address.
- You must be the director of an active company registered with UK Companies House or a sole trader/freelancer registered with HMRC.
- Charities/trusts and other high-risk industries are not eligible.
- Businesses operating from outside the UK are excluded.
FSCS Protection: Yes, Tide is FSCS protected.
Trustpilot Score: 19,375 Reviews with an average rating of 4.1/5
A global online business account emphasising savings on transfers, payments, and foreign exchange, with money exchange in over 30 currencies
- Easy integration with Ecommerce via Apps and Plugins
- Send and receive money from 200 countries
- Block cards or set accounting limits with a tap
- Available for Limited Companies Only
- Accounts do not support cash or cheque deposit
- No physical branches
Eligibility Criteria
- You must be at least 18 years old.
- Your business must have a physical presence in the EEA and Switzerland.
- You must be a sole trader, freelancer, limited company, partnership, LLP or PLC.
- Charities/trusts and other high-risk organisations are not eligible.
- Businesses operating from outside the supported countries are excluded.
FSCS Protection: No, Revolut is not protected by the FSCS.
Trustpilot Score: 151,826 reviews with an average rating of 4.2/5
Highly regarded for being a fully regulated, FSCS-protected account with no credit check, no monthly fees, quick setup, & UK-based support
- Business credit builder add-on
- Overdrafts of up to £2,000
- Pay in via any post office
- £2 ATM fee
- No physical branch
Eligibility Criteria
- You must be at least 18 years old.
- You must be a sole trader, director of a limited company, a charity or a partnership based in the UK.
- Sole traders cannot be registered at UK Companies House. Limited companies must have no more than 4 PSCs registered with Companies House.
- You must have a UK residential address.
- High-risk organisations are not eligible.
- Businesses operating from outside the UK are excluded.
FSCS Protection: Yes, Cashplus is FSCS Protected
Trustpilot Score: 10,291 Reviews with an average rating of 3.6/5
An ideal option for small companies, sole traders, or freelancers seeking a straightforward account designed to reduce administrative burden
- Instant invoice generation
- Good customer service via live chat
- Xero integration
- Easy VAT submission to HMRC via app
- You can apply from outside the UK, but only if you’re a UK resident
- Anna carry out an identity check for new acccounts
Eligibility Criteria
- You must be at least 18 years old.
- You must be a sole trader, a director of a limited company (and listed on Companies House) or a partner in a Limited Liability Partnership (LLP).
- You must have a UK residential address.
- Charities/trusts and other high-risk businesses are not eligible.
- Businesses not based in the UK are excluded.
FSCS Protection: No, ANNA is not FSCS Protected.
Trustpilot Score: 2,896 Reviews with an average rating of 4.6/5
Appreciated for its quick application process, no credit check requirement, cashback rewards on business spending, and absence of failed payment fees
- No credit check
- Cashback rewards programme
- No charges for failed payments
- UK Call centre
- Application fee is £55
- There isn’t any overdraft
- There is a minimum £12.50 per month account fee
- Withdrawals and transfers come with a fee
Eligibility Criteria
- You must be at least 18 years of age.
- You must reside within the UK.
- Your business must be registered within the UK.
- Businesses operating outside the UK are excluded.
- Companies that are listed as directors are not eligible.
FSCS Protection: No, Card One Money is not FSCS Protected.
Trustpilot Score: 849 Reviews with an average rating of 4.5/5
Designed for international businesses, offering features like savings on international payments, access to accounts in over 70 countries
- Typically one of the most cost-effective providers
- 80% of payments are settled within 24 hours, and 35% of the total are instant
- Complete transparency on all fees
- No bank branches
- No cash deposits or transactions
- No credit or business loan facilities are available
Eligibility Criteria
- You must be 18 years of age or older.
- Almost all businesses are eligible, but you must provide proof of address for the account representative.
- Your business must operate within the supported countries.
- high-risk companies and charities/trusts operating outside certain countries are not eligible.
FSCS Protection: No, Wise is not FSCS Protected.
Trustpilot Score: 217,184 reviews with an average rating of 4.3/5
Ideal for sole traders and small businesses, offering easy and quick sign-up, effective basic banking functions and a three-month free period
- 3 months free trial
- Fast sign-up
- Simple and streamlined
- Share data easily with your accountant
- Not as comprehensive as some competitors
- No free account after 3 month trial has ended
- Not FSCS protected as it’s an e-money institution
Eligibility Criteria
- You must be at least 18 years old.
- You must be either a sole trader or the director of a limited company.
- You must be a UK resident.
- Other business types are not eligible.
- Businesses operating outside the UK are excluded.
FSCS Protection: No, Countingup is not FSCS protected.
Trustpilot Score: 2,342 Reviews with an average rating of 4.4/5.
Offering innovative solutions that streamline cross-border business transactions, Airwallex is an alternative business account worth considering.
- Multi-currency account with local details in 12 markets
- Collect and settle payments with competitive FX rates
- Issue virtual company and employee cards
- Integrate with accounting tools and marketplaces
- Limited Physical Presence
- Service Availability in Some Countries
Eligibility Criteria
- You must be over 18 years old
- You must be a business operating within one of the supported countries/regions
- Your business must be registered and have a physical address.
- Charities and other high-risk organisations are not eligible
FSCS Protection: Yes, Airwallex is FSCS Protected
Trustpilot Score: 1,053 Reviews with an average rating of 3.7/5
How We Order Our Comparisons
At Business Expert, we understand the significance of selecting the perfect business bank account. That’s why our comparison process is designed to offer you the utmost value.
- In-Depth Analysis: We thoroughly examine each business bank account, considering fees, overdraft options, transaction limits, and extra services. Our goal is to provide a comprehensive overview, highlighting the strengths and weaknesses of each account.
- Easy Filtering: With our comparison tool, you can effortlessly filter and find the account that suits your unique needs. Whether you prioritize low fees, high interest rates, or specific transaction features, our filters simplify your choices.
- Regular Updates: Business banking is ever-evolving. We keep our comparisons up-to-date with the latest changes in bank account features, fees, and user preferences. This ensures you receive accurate and current information to make the best decision.
What does “Sponsored” Mean?
When you see a ‘Sponsored’ label on our website next to some bank accounts, it means we have a partnership with that bank. This partnership allows us to receive compensation when a user opens an account through our link.
This helps us maintain our high-quality comparisons and provide valuable insights about different business bank accounts. Importantly, our commitment to honest analysis and fair rankings remains unchanged. The ‘Sponsored’ status doesn’t affect our objective assessments or account rankings on our platform. Your trust is our priority.
How Much do Business Bank Accounts Cost?
When it comes to business bank accounts, the term “free” is often used to describe them. However, it’s crucial to clarify what this actually means. Typically, when an account is labelled as “free,” it indicates the absence of monthly account maintenance fees. Nevertheless, almost all business bank accounts may incur charges for specific services or transactions. Let’s explore these costs in detail:
1. Monthly Fees: Most “free” business bank accounts do not impose a monthly fee for simply having the account. This can be advantageous for businesses aiming to reduce regular expenses.
2. Transaction Charges: Despite being free in terms of monthly fees, business bank accounts often come with transaction charges. These charges can be incurred when you make cash deposits, withdraw money from ATMs, transfer funds, or perform other banking activities. It’s essential to be aware of these transaction fees, especially if your business conducts numerous transactions.
3. ATM Withdrawal Fees: While the account itself might not have a monthly fee, withdrawing cash from ATMs, especially those not affiliated with your bank’s network, can result in additional charges. Consider where you’re likely to access cash and whether these fees align with your business’s needs.
4. Overdraft Fees: Some business bank accounts may charge overdraft fees if your account balance goes into negative territory. Understand the terms and costs associated with overdraft protection if your business might encounter such situations.
5. Interest Rates: Even “free” business bank accounts may offer interest on your account balance, although the interest rates tend to be minimal compared to dedicated savings accounts.
6. Additional Services: Beyond the basic account, some banks offer extra services like business credit cards, loans, or international transactions. Each of these services may come with its own associated costs.
Does a Business Bank Account Earn Interest?
In almost all cases, business bank accounts don’t earn interest. They are typically designed for managing money and transactions rather than growing savings. If earning interest is important to you, it’s essential to look for specific business savings accounts that offer this feature.
Transaction Limits for Business Bank Accounts
Understanding transaction limits is vital for selecting the most suitable business bank account. These limits dictate the number of transactions you can make without incurring additional fees. Here’s a breakdown of key considerations:
- Free Transactions: Many business bank accounts offer a set number of free transactions based on your chosen account plan. These transactions typically encompass deposits, withdrawals, transfers, and card purchases.
- Account Plan Tiers: Different account plans come with varying levels of free transactions. Lower-tier plans may offer a limited number of free transactions, while higher-tier plans provide more.
- Cost-Effectiveness: Assessing your business’s transaction needs is crucial. If you anticipate making numerous transactions, opting for a higher-tier account plan with a higher allowance of free transactions may prove more cost-effective. This can help you avoid additional charges for exceeding your limits.
- Additional Charges: When you exceed the allotted free transactions, banks often impose charges for each extra transaction. These charges can accumulate, impacting your business’s overall expenses.
Accessing and Managing Your Business Bank Account
When you’re choosing a business bank account, accessibility is a critical consideration. The ease of accessing and managing your account can impact your banking experience significantly.
Firstly, consider the quality of the mobile banking app provided by the bank. For many banks, especially challenger banks, the mobile app serves as the primary interface for customers. It should be user-friendly, offer essential features, and ensure a smooth user experience.
Branch availability is another factor to keep in mind. Not all banks have physical branches, and this can affect how you access your account. Some challenger banks operate solely online, while others may have arrangements with partner banks for certain services. Consider whether you need in-person services or cash handling capabilities when choosing your account.
Check the bank’s ATM network. Some banks provide access to a wide network of ATMs, making it convenient for cash withdrawals. Others may have limited coverage, which can impact your ability to access cash easily.
Customer support is crucial. Ensure that your chosen bank offers accessible and responsive customer service through phone, online chat, or email. Having quick access to support can be vital when you have questions or encounter issues.
For businesses dealing with international transactions, assess the bank’s foreign exchange services. Look for transparent fees and ease of handling multiple currencies to ensure that your international business needs are met.
Consider how you handle cash and checks. Some banks accept cash deposits through partner networks or ATMs, while others may have limitations. Your choice should align with your cash deposit preferences and requirements.
Certainly, here’s a section addressing the comparison between Challenger Bank Accounts and High Street Accounts:
Are Challenger Bank Accounts as Good as High Street Accounts?
In our rigorous testing, we’ve found that Challenger Bank Accounts offer a banking experience that often surpasses traditional High Street Accounts in several key areas. While there are differences, it’s essential to understand the advantages these innovative accounts bring to the table.
1. User Experience: Challenger banks have prioritized creating user-friendly interfaces that simplify banking tasks. Their online and mobile app experiences tend to be intuitive, offering a seamless way to manage your finances. This user-centric approach means you can perform essential banking tasks with ease.
2. App Quality: The quality of mobile banking apps from Challenger Banks is often exceptional. These apps are designed to enhance your banking experience on the go. They come equipped with features that make it convenient to check balances, make payments, and even deposit checks using your smartphone’s camera.
3. Cost Efficiency: Many Challenger Bank Accounts are cost-effective, offering competitive or even free account options. They typically have transparent fee structures, helping you avoid hidden charges commonly associated with some traditional banks.
4. Branch Limitations: It’s true that Challenger Banks have fewer physical branches compared to High Street Banks. However, they often compensate for this limitation by providing outstanding digital services. For most small businesses, the reduced number of branches doesn’t pose a significant issue, given the convenience of online and mobile banking.
5. The New Standard: Challenger Bank Accounts represent a new breed of banking that prioritizes ease, good communication, and fast account opening. They place user experience at the heart of their banking services, making them particularly attractive to small businesses looking for efficient and modern banking solutions.
Is Your Money Safe in a Business Bank Account?
When considering the safety of your money in a business bank account, it’s essential to understand the distinction between traditional banks and e-money providers, as both are included in our list of recommended accounts.
Traditional Banks:
These are fully licensed banks that are regulated by the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA). Funds held in accounts with traditional banks benefit from the Financial Services Compensation Scheme (FSCS) protection. This means that deposits up to £85,000 per person per institution are safeguarded by the UK government, even if the bank encounters financial difficulties. Traditional banks offer the highest level of protection for your deposits.
E-Money Providers
Some accounts on our list are offered by e-money providers. These entities are also regulated by the FCA but are not classified as traditional banks. E-money providers offer electronic money accounts, and funds held in these accounts are not covered by the FSCS protection. However, this doesn’t mean your money is unsafe. E-money providers are required to keep your funds in safeguarded accounts, separate from their own operational funds. This segregation ensures that your money remains accessible for your intended purposes.
Business Bank Account FAQs
How Do I Open a Business Bank Account?
You can typically complete the application process in just a few minutes by visiting the bank’s website. Most banks will guide you through the steps, which may include providing your business registration documents, personal identification, and proof of address. After submission, your application will be processed promptly with some providers promising a matter of minutes before you can get an account number and sort code.
What Documents Do I Need to Open a Business Bank Account?
The specific documents required may vary by bank, but generally, you’ll need your business registration documents, personal identification (passport or driver’s license), proof of address (utility bill or bank statement), and potentially additional documentation depending on your business type and the bank’s requirements.
Can I Deposit Cash and Checks Easily?
While most high street banks allow you to deposit cash and checks easily at their branches and ATMs, this may not be the case for all challenger banks. Some online-only challenger banks may not have physical branches or ATM networks for cash deposits. If depositing cash is crucial for your business, make sure to choose a bank with convenient cash deposit options.
Are There Any Benefits to Having a Business Bank Account Over a Personal Account for My Business?
Yes, there are several benefits to having a dedicated business bank account. It helps separate your personal and business finances, simplifies tax reporting, and enhances your professional image. It also provides access to business-specific services and tools.
Can I Have Multiple Business Bank Accounts for Different Purposes?
Yes, you can have multiple business bank accounts for various purposes, such as separating income and expenses, managing specific projects, or setting aside funds for taxes. Many banks allow you to open multiple accounts under your business’s name.
Is it Possible to Switch Business Bank Accounts if I’m Dissatisfied with My Current Bank?
Yes, it’s possible to switch business bank accounts if you’re unhappy with your current bank’s services. Many banks offer a switching service that helps transfer your account seamlessly. Review the process with your new bank to ensure a smooth transition.
What Should I Consider When Choosing a Business Bank Account for an Online Business?
For an online business, prioritize features such as online banking capabilities, easy payment processing, and access to e-commerce tools. Consider whether the bank offers integration with popular e-commerce platforms and flexible online payment options.